In the Self-Insured analysis, what do the Variable Costs & the Fixed Costs include?
Variable Cost(s) include: Medical/Surgical Claims; Inpatient/Outpatient Costs; Pharmaceutical Costs; Mental Health; Dental; Ancillary Costs. Simply, Variable Cost(s) ONLY represent claims exposure. Fixed Cost(s) represent: Third Party Administration Costs; Stop-Loss; Aggregate Reinsurance (if any) and any internal costs attributed to your organization to manage the plan internally.
